“We opened stores in Alba Iulia, Arad, Turnu Severin and will also open in Cluj-Napoca and Satu Mare. We try to open in areas with a lot of traffic. We bought a store chain in Dobrogea, we will end the year with at least 32 stores. (…) the number of actors on the market is shrinking,” Zsolt Benedek told ZF.
One of the reasons for the decline in the number of actors on the retail market is the decline of profit margins, as wages have gone up in the past few years and personnel spending accounts for a significant share of the expenses of running a business, he added.
Labor shortage remains a problem, the Adams Vision shareholder said.
“It is hard for us to find labor in the more developed cities, in Cluj, Brasov it is considerably harder than in other cities.”
Adams Vision posted almost 14 million lei (EUR3 million) revenue in 2017, up almost 40% on the previous year. The growth was because of the new stores opened at new products launched.
The product portfolio includes food supplements, cosmetic oils, essential oils, cosmetics and health foods (gluten-free foods, dried fruit, cereal and unprocessed seeds).
“We expect RON20 million revenue this year, it all depends on how quickly we can integrate the stores we bought.”
The Romanian food supplements and vitamin market is put at RON1.4 billion in 2017, up 7% on 2016. Food supplements account for most of it, 54%, followed by vitamins, 34%, market research company Euromonitor data show. (EUR1=RON4.6607)
(English version by Loredana Fratila-Cristescu)